Cost of at home COVID-19 test is eligible medical expense
COLUMBIA, Mo. (KMIZ)
As the omicron cases are on the rise, so are the covid testing rates.
According to Johns Hopkins University on Dec. 19th, more than 600,000 people were tested nationwide for COVID-19.
The Biden Administration plans to give free at-home COVID testing kits starting Jan. 15th to anyone who requests one.
Until then you may have to pay out of pocket, but you can get your money back.
On Sept. 10th, the IRS announced to taxpayers that at home COVID testing kits are an eligible medical expense, along with personal protective equipment such as hand sanitizer, masks and sanitizing wipes.
The at-home testing kits and PPE can be paid or reimbursed under a flexible spending arrangement or health savings account.
A flexible spending arrangement (FSA) is an arrangement between an employer and employee that allows you to be reimbursed for the cost of an approved medical expense that is not covered by your health insurance plan.
A health savings account (HSA) is a health savings account that allows you to set aside money on a pre-tax basis. Money is this account can be used to help you pay for qualifying medical expenses.
If you have a FSA and you choose to buy your test or PEE from a pharmacy you will automatically be reimbursed. In a pharmacy, most medical supplies are already coded into a system. The flexible savings account card will know if the item qualifies and you automatically be reimbursed.
If you choose to buy online, for example on Amazon, you will not automatically be reimbursed. Amazon will not automatically know that an item is a medical expense.
To go about your reimbursement through an online purchase you will have to send in documentation showing:
- The date the item was purchased.
- The amount of the item.
- What the item was for.
When using health savings account for a purchase, you can use your HSA to pay yourself back for your out-of-pocket expense. Reimbursements fall under your responsibility. It is not required to submit documentation but it is recommended in case of an IRS audit.
You can find COVID-19 at-home testing kits at your local drug store or retailer.
